Excise duty

1739 views 14 replies

On 31st march if goods are manufactured but not yet despatched.

for that excise duty should be payable or not

 

 

Replies (14)

Excisd duty liablity is fixed once goods manufacured. But duty is payable only when dispatched from factory.

Regards

Dayananda

 

Excise duty payable only after goods are despatched from the factory.

excise duty payable when goods are dispatched from the factory

DATE OF REMOVALE WILL BE CONISDER FOR DUTY PAYMENT.........

 

when goods are still in premises not despatched , why should not pay excise.

thanks

Duty shall be payable at the time of removal of goods from factory gate

YES, MANUFACTURE IS THE TAXABLE EVENTS  

BUT EXCISE DUTY IS PAID WHEN GOODS IS DESPATCH FROM FACTORY..

duty is payable after the goods leave the factory gate

manufacturing activity is liable under central excise act but actual liability to pay excise duty has been occured when manufactured goods has been removed from the factory . in some cases it is exemp to pay excise duty when the buyer submit some declaration forms

Though the  taxable event is manufacture as per charging sec.3 of CE act, 1944, the liability to pay arises only at the time of removal. This is confirmed by the apex court in the case of Vazir Sultan Tobacco Co. [1996 (83) ELT 3] &  Wallace Flour Mills Co. Ltd. vs. CCE 11989 (44) ELT 599.

   Since the taxable event is manufacture, as an accountant you should ensure that provision for excise duty is made in the books. This view is expressed by ICAIs guidance note on provisioning for excise duty.

Excise duty is accrude on manufacture but not due. Hence payment is at the time of removal of goods but the duty amount has to be computed and added while valuing the closing stock.

i agreee with the answer given by Mr.saiyum khan pahan

On 31st march if goods are manufactured but not yet despatched. for that excise duty should be payable or not This goods shows in Manufactureing colum, it means closing stock as on 31 st March as ur books

Excise duty payable only on clearnce though liabiltiy is fixed once goods are manufacured. Hence you need to pay duty on stocks you have as on 31st Mar 2012.

Regards

Dayananda

 

 


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